The business expansion of conglomerates and franchises in Singapore has had several significant effects. Firstly, economic growth was stimulated as these entities created numerous job opportunities and increased the GDP. The presence of conglomerates diversified the economy by operating across multiple industries, reducing dependency on any single sector.
Franchises facilitated the growth of small and medium-sized enterprises (SMEs) by allowing them to operate under established brand names, thus lowering the risk for new entrepreneurs. This model promoted business innovation and enhanced market competitiveness. The expansion of large conglomerates and franchise networks improved market efficiency by streamlining operations and broadening the consumer base. Overall, these business models have contributed to a more dynamic and resilient economic landscape in Singapore.